PayPal Fees Calculator | Paypal Fees for Sellers Explained - US (2025)

FAQs

How are seller fees calculated on PayPal? ›

For the most common PayPal fee of 3.49% + $0.49, the fee for a $100 transaction will be $3.98, making the total money received after fees $96.02. Example 1: You send an invoice to a client for $500 to be paid via PayPal Checkout or Guest Checkout.

The seller is responsible for all fees for a transaction (not only PayPal but also Square, credit cards, etc.) unless there is an up-front agreement. Once you agreed to accept a PayPal payment, you owned it.

-If the payments are made through a website and the receiver only accept payments in a local currency the sender would pay the conversion fees. -If a personal payment would be made the sender of the money can choose in which currency he wants to send the money. So either the sender or receiver can change the currency.

As the recipient of funds, you are responsible for all PayPal fees. Fees for receiving money are typically a percentage of your transaction total plus a fixed fee. PayPal fees vary by payment type, currency received, and whether the transaction is domestic or international.

To turn on Passing fees, start by going to Settings and hitting Payment Info. From here, hit Method under the Payment Processing Fee header. You will have the option choose between Surcharge and Mark-up. Toggling either of these settings will affect all future invoices.

Personal payments aren't covered by PayPal Purchase Protection. You can make a personal payment to anyone in the US for free if you use your bank account or PayPal Balance. If you use a debit or credit card, there will be a small charge for your payment. Go to our Fees page for more information.

Who has lower fees than PayPal? ›

Stripe offers both online and in-person payment options. While PayPal's card transaction fee is 2.99%, plus a 49-cent fee, Stripe's 2.7% plus 5 cents per card transaction fee makes it a better option for budget-conscious businesses.

Why Does PayPal Charge a Fee? PayPal is a publicly-traded for-profit business that generates income by charging fees. PayPal uses cash generated from fees to maintain a high level of services, pay its employees, and introduce innovative payment methods.

You may wonder how much are paypal fees. PayPal has a set 3.49% processing fee in place as well as a $0.49 per transaction on top. It means the more you transfer, the more you will pay out in processing fees. No matter how much you decide to send, this fee remains.

Standard Domestic Merchant Fee

It will be 2.9% of the payment you receive, with the addition of 30 cents (or the equivalent “fixed fee” that PayPal gives for your currency, if the country in question is not the United States).

If the payment method is a PayPal balance, bank account, or Amex Send Account, there is no fee; if the payment method is another card, the fee will be 2.90% + a fixed fee.

For U.S. domestic transactions, PayPal charges a fee ranging from 1.90% to 3.90% of the transaction amount plus a fixed fee based on the currency used (e.g., 0.49 cents for US dollar).

If the amount you're sending is up to $3000, you will be charged with 4.4% of the amount plus a fixed fee. The percentage level decreases as the transaction amount goes above $3000.

PayPal Invoice fees

The receiver (your business) is responsible for these fees, which are automatically deducted. You can calculate how much PayPal will charge you with this simple PayPal fee calculator from Wise.

While it's free to open a PayPal account, the platform needs to charge those fees to operate a sustainable business. In essence, the company provides a secure platform that you can use to manage your money easily in exchange for transaction fees that ensures its operation.